20 February 2014

Nigeria: Spectrum Bid Winner Pledges to Raise Funds

Lagos — BITFLUX Communications Limited, has expressed optimism it would meet the 14-days deadline set by the Nigeria Communication Commission (NCC) for the payment of the $23, 25m bid it offered for the 2.3GHz spectrum license.

On Wednesday, Bitflux was announced winner of the 2.3GHz broadband spectrum after it edged out indigenous telecoms firm, Globacom.

The two competitors were the only participating companies after other big names in the telecoms sector voluntarily withdrew from the bid.

Bitflux Communications which is a consortium of three firms, VDT Communications Ltd, Bitcom Systems Ltd and Superflux International Ltd, emerged winner after the second round of auctions, with $23, 25 million to Globacom's $23, 050 million.

With the development, Bitflux became the sole provider of wholesale wireless broadband to other service providers in the country.

Bitflux would also be expected to interconnect with the Infrastructure Companies (InfraCos) at their Points of Access (PoA), thereby creating an integrated broadband service nationwide to homes and firms.

That however depend on how quick the company was able to source and pay the bid offer within two weeks.

Speaking on Bitflux's capacity to make the payment before the set date, Tokunbo Talabi, a director in the firm said that Bitflux was financially ready before it went into the bid.

He said that the company had already mapped out plans and secured financial assurance from its international and local partners.

“We would definitely pull the string before that time. We were ready before coming here and I can assure you that we have the capacity to meet the two weeks deadline.

"Our partners are solidly behind us and we believe within two weeks time, that payments would be made,” he said.

NCC warned that the license would naturally return to the second bidder, if the first bidder failed to pay up within the stipulated two weeks deadline.

Copyright © 2014 CAJ News Agency. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 2,000 reports a day from more than 130 news organizations and over 200 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.